During a midday stop in downtown Stratford, Republican gubernatorial candidate Ryan Fazio presented a bold tax‑relief blueprint aimed at making Connecticut more affordable for families. Fazio, a state senator from Greenwich, said the plan would cut the lowest four of the state’s seven marginal income‑tax rates over the next four years, delivering $2,000 in savings for a median‑income family and $2,500 for an average‑income household by 2031.
How the Relief Would Be Funded
To pay for the cuts, Fazio proposes trimming annual state spending by more than $1.2 billion and reducing borrowing by $500 million. The centerpiece of the fiscal strategy is a $336 million annual reduction in Medicaid, the state’s largest expense, achieved by ending state‑sponsored health coverage for illegal immigrants, moving to a managed‑care model that caps assistance, and targeting fraud.
Additional savings would come from shifting more social‑service delivery to private nonprofit agencies, shrinking staffing budgets for state agencies, and eliminating legislative “earmarks” – special appropriations for projects in individual lawmakers’ districts.
Impact on Education and Business
Fazio’s proposal also includes a $125 million boost to annual education aid by 2031 and a $100 million reduction in business taxes, positioning the plan as a comprehensive effort to spur economic growth while easing the tax burden.
Critics Question the Assumptions
Stratford Town Council Chairman Anthony Alfriyie, speaking for Governor Ned Lamont’s campaign, called the plan “based on a bunch of assumptions and maybes.” He warned that the projections rely on outdated spending trends and optimistic revenue forecasts that no longer match Connecticut’s fiscal reality.
Nonpartisan analysts from the Office of Fiscal Analysis project operating deficits of $114 million to $232 million each year for the next four years, contradicting Fazio’s assumption of consistent surpluses ranging from $350 million to $900 million. If those deficits materialize, the governor‑candidate may need to tap a special savings program that currently funds pension debt reduction and reserve building.
Unfunded Programs and Legal Risks
The plan does not address recent state investments in affordable childcare, which have added roughly $60 million annually, nor the $280 million in municipal aid earmarked for cities and towns. Critics argue that cutting Medicaid and eliminating aid could jeopardize these programs.
Fazio also proposes seizing income‑tax revenues currently paid by Connecticut residents who work out‑of‑state to neighboring New York and Massachusetts. Repealing the existing exemption could expose tens of thousands of workers to double‑taxation and likely trigger a federal court battle.
Candidate’s Response
Fazio acknowledged that the plan may need adjustments to win legislative approval, especially if Democrats retain control of the state House and Senate. He emphasized the urgency of addressing Connecticut’s “unaffordability crisis” and expressed confidence that bipartisan cooperation could deliver the promised relief.
“Leadership means showing the public, including the legislature, the benefits of helping our overtaxed constituents,” Fazio said. “I can work with my colleagues, and I anticipate disagreements, but that’s where leadership comes into play.”
Original reporting: The Connecticut Mirror — read the source article.
